Looking to Raise Assets? Understand What Risk Means to Institutions

The two risks that respondents discussed repeatedly for which managers should remain focused are: (1) firm viability and the risk of the firm and/or strategy failing to survive its growth years; (2) opportunity costs: the risks of what other investments were missed by allocating to this strategy. Managers can best overcome these risks by having a diligent, detailed and cost-effective business plan that is well articulated throughout the process, and by effectively communicating their “fit” into an existing and diversified portfolio.